OREANDA-NEWS. December 22, 2014. German state bank KfW provides "MEGABANK" with long-term financing. The corresponding agreement between "MEGABANK" and KfW was signed in early December.

According to the agreement, "MEGABANK" is provided a subordinated loan of \\$ 4.75 million for 7 years. KfW provides loans from the funds of the Federal Ministry for Economic Cooperation and Development of Germany, which implements a policy of economic development in developing countries or countries in the process of transformation. As noted by the Chairman of the Board of "MEGABANK" Elena Zhukova, KfW as a shareholder of the bank by providing subordinated debt is going to increase the capitalization of the bank and provide long access of SMEs to credit resources, thereby contributing to their economic development.

KfW is a shareholder and creditor of "MEGABANK" in collaboration with the European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation (IFC). Over the years "MEGABANK" received from KfW funding of USD 21.25 million.

KfW is the Development Bank of the Federal Government of Germany. 80% are owned by the Federal Government and 20% – Federal lands (Bundeslaender). With total assets of more than 487 billion Euros (as of 30.09.2014) KfW is one of the largest banks in Europe. KfW is investing in the following areas: support for small and medium businesses, the environment, financing of social and communal infrastructure, energy development.

MEGABANK, PJSC has operated in the banking market of Ukraine since 1990. Regional network of "MEGABANK" has 155 branches in 20 regions of Ukraine. The bank's assets on 1 November 2014 amount to UAH 5 977 million, loan and investment portfolio – UAH 5,235 mln., the bank's capital – UAH 748 million, the profit of the year – UAH 30 316 thousand. "MEGABANK" provides a full range of classical banking services used by 542 thousand customers, including 145 thousand beneficiaries of pensions and other social benefits.